Tool Box
Issue No. 51 - February/March 2010
Build a CRM database that works
To compete in today’s sales environment, most businesses need to promote and sell direct to their customers to build loyalty and repeat sales. They also want to promote events, deliver news and advise of sales.
• A properly leveraged database can develop direct sales from $600 to $50,000 in your first campaign - as Two Hands Wines did a year or so ago - but there is a lot of confusion about databases, so let’s get the basics right first.
1. Ask for Customer Data. This seems obvious, but far too many businesses don’t take this critical first step, assuming “people don’t like to give out information”. If a customer has just bought from you, obviously they like your product! The point of sale is the best, and in most cases the only time you can ask for their information. Most retail businesses have unique knowledge of their products. People like to know more about what they have bought – how to get better use from it, how it matches or works with other products. They like the opportunity to buy complimentary products.
By asking, “Would you like to join our mailing list to receive special offers and details regarding events?” experience shows 95% of customers will say yes. Often it is the person handling the sale who has the attitude problem with asking for customer information, not the customer in being asked.
2. Make it easy to collect information when you are busy. Most businesses have their very busy times at the shopfront but if you use a Point of Sale system, it takes about a minute to enter customer data. You have to enter the transaction anyway. For those very busy times:
a. Ask customers to join your mailing list and give them a contact form to complete;
b. Enter the sale in your PoS system using just the first and last name, so you capture the transaction against the customer;
c. When you are less busy, go back and find that sale and enter the customer’s full contact details from the completed ...
